EU shifts tech focus: India overtakes US and China as top strategic partner

The European Union is recalibrating its global partnerships, with India emerging as the bloc’s top strategic priority for trade, technology, and supply chains—surpassing both the United States and China, according to a new report. The findings, highlighted in a survey of EU CEOs, underscore a deliberate shift away from over-reliance on Beijing amid growing concerns over industrial policy, technology theft, and state subsidies. The report, cited by *Free Press Journal* , reflects a broader European push to diversify critical dependencies while strengthening ties with democratic partners.

This strategic pivot coincides with the EU’s unveiling of a sweeping "tech sovereignty" plan aimed at reducing reliance on foreign providers, particularly from the US. The European Commission’s initiative, detailed by *PYMNTS* , seeks to bolster domestic innovation in semiconductors, cloud computing, and digital infrastructure. The move follows warnings from policymakers like Cecilia Malmström, a former European Commission member, who argued in the *South China Morning Post* that Europe’s fears about China stem not from its economic competitiveness but from "subsidies, technology theft, state-owned enterprises and a pervasive industrial policy" .

The Netherlands has taken concrete steps to enforce this strategy, mandating that the next operator of its national digital identity platform, DigiD, must be a European company. State Secretary Eric van der Burg confirmed the decision in a letter to parliament on 5 June 2026 . Meanwhile, China has urged Brussels to adopt a "rational" view of bilateral trade ties, as reported by the *Global Times* , though the EU’s tech sovereignty agenda suggests such appeals may fall on deaf ears.

The bloc’s reorientation also extends to geopolitical engagements. South Korean President Yoon Suk-yeol is in Europe this week for EU and G7 summits, where he is scheduled to meet Pope Leo, according to the *Korea Herald* . The diplomatic round underscores Europe’s role as a key interlocutor in an era of fractured alliances.

Against this backdrop, the EU is doubling down on internal cohesion. The European Commission is amplifying its tech sovereignty package, as reported by *TelecomTV* , while Italy and the European Investment Bank have signed an advisory deal to develop affordable housing in Rome . These measures, alongside the state funeral for former EU Parliament President David Sassoli in Rome , highlight Europe’s focus on both technological autonomy and social resilience.

As the EU navigates a multipolar world, its pivot to India and tech sovereignty signals a new chapter—one defined by strategic caution, economic pragmatism, and a clear rejection of unilateral dependencies.